A Cambrian Explosion
“It feels like we’re having a Cambrian Explosion in crypto. Just as the Cambrian period enabled the creation of a multitude of new life forms, the emergence of blockchain, cryptocurrency, and decentralization, is opening up a wide range of previously unavailable markets, as well as new ways to compete against entrenched incumbents. Sure, most of the new crypto entities coming in to being today will die out, but many of the ones that survive will be epic…”
Best News Sources
• CryptoSunTsu (Sunfellow crypto Twitter feed)
Deaths by Year:
2018 – 6
2017 – 125
2016 – 28
2015 – 39
2014 – 29
2013 – 17
2012 – 1
2011 – 6
2010 – 1
Especially Important News Stories & Articles
• Crypto is the Mother of All Scams (pdf) by Nouriel Roubini
• Crypto Industry Reacts To Nouriel Roubini’s Statements Before Senate
• A Typical Day for Binance CEO by Changpeng Zhao (CZ)
• The Future of Blockchain, According to Changpeng Zhao (CZ)
• Bitcoin’s Second-Ever Developer Is Back (With a Big Vision for Crypto) (Martti ‘Sirius’ Malmi – $AXE)
• Brock Pierce: The Hippie King of Cryptocurrency
• Brief Lessons from Being a CEO in the Cryptocurrency Space by Charles Hoskinson
• The Champions Of Crypto (Changpeng Zhao (CZ) of Binance, Mick Hagen of Mainframe, Vitalik Buterin of Ethereum)
• New York Times: The People Leading the Blockchain Revolution
• How Tim Berners-Lee, The Man Who Created The World Wide Web, Plans To Fix It
• Crypto-Keynesian Lunacy
• Murad Mahmudov: The Ultimate Bitcoin Argument
• Corrupt Crypto News Outlets
• Why Bitcoin & Crypto Are The Future – Download PDF
• Research: Bitcoin Whales are Stabilizing the Market, Not Crashing it
• Research: China Has The Power To Destroy Bitcoin
• Bitcoin Mining Attacks Are Overblown
• Ripple CEO: Bitcoin Controlled By Chinese, Absurd To Think It Could Be Primary World Currency
• 70% of Small-Cap Cryptocurrency Tokens Now Worth Less than ICO Raised
• Research: Over 1,000 Cryptocurrencies Are “Dead Projects”
• Major Social Media Disruption Ahead
• The U.S. Government Has Spent Millions Trying to Track Cryptocurrency Users
• The Latest Bitcoin Bug Was So Bad, Developers Kept Its Full Details a Secret
• Blockchain Could Generate $1 Trillion in Trade Finance
• Bitcoin’s Arrival In The Institutional Market – What It Means In The Long Run
• 9 Mistakes That New Traders Make
• Binance Listing Tips
• Coinbase “Institutional Core Principles”
• My Experience Disclosing A Critical Bitcoin Cash Vulnerability
• Chinese Billionaire Building $300 Million Cryptocurrency Hub In U.S.
• World’s Biggest Stock Exchange Operator Is Launching A Bitcoin Market
• Experts Debunk ‘Dangerous And Misleading’ Study Hyping Bitcoin Energy Use
• Stop Worrying About How Much Energy Bitcoin Uses
• The Fightback Against The Bitcoin Energy Guzzlers Has Begun
• The Epic Battle Between Central Banks And Cryptocurrencies
• Binance is Backing the World’s First Decentralized Bank in Malta
• 2018 Global Blockchain Survey
• 6 Million Bitcoin Is Lost Or Stolen
• The Three Likely Paths For Bitcoin
• What The Launch Of Coinbase Custody Means For ‘The Little Guys’
• Bank of America Acknowledges Cryptocurrencies As A Threat To Their Business
• Bitmain Dominates Bitcoin Mining Hashrate — Almost At 51 Percent
• As Long As Cryptos Are Mainly Paired To BTC, BTC Will Control Market
• Women’s Interest in Crypto Trading Has Doubled, UK Exchange Reveals
• Decentralized Exchange Compendium ‘Index’ Lists Over 200 DEX Platforms
• Can Blockchain Turn Plastic Waste Into Currency For The Poor – And Save Our Oceans?
Honest & Accurate Exchange Rankings Report (August 2018, Blockchain Transparency Institute)
“Current metrics used to determine exchange rankings by CoinMarketCap even with the new ‘Adjusted Volume’ parameters have still left most in the industry questioning their methodology. A new system was developed by Blockchain Transparency Institute (BTI) to provide better transparency for the crypto sphere on true exchange volumes. In the following report we have discovered at least 7 of the top 10 exchanges engaging in excessive wash trading from 12x to over 100x their true volume. We have also highligted more trustworthy exchanges which move up 40-60 places in the true rankings list.”
Market Cap Trackers
Other Helpful Crypto Resources
• Crypto for Beginners
• Crypto Traffic Rank
• Block’tivity (the real value of Blockchains)
• Tutorial – Brave Payments – How To Spend Your $BAT
• Cryptocurrency Primer (Exchanges, Wallets, Quotes, News Sources)
• The Ultimate 10 Step Guide To Crypto Investing
“Say what you will about Bitcoin, it’s given us the world’s first cryptographically provable con artist. Scammers always have more to say, but all that matters now is math. He can actually sign ‘Craig Wright is Satoshi Nakamoto’ with Satoshi’s keys, openly and publicly. Or he can’t, because he doesn’t have those keys, because he’s not actually Satoshi.”
— Dan Kaminsky / Source: May 3, 2016
“There’s a reason Faketoshi refused to use the normal sign/verify protocol built into many Bitcoin wallets. The reason was to try to deceive people with trickery. If a signature is not signing an intelligible message, it is a scam, nothing more.”
• 62 Insane Facts About Bitcoin
• 10 Brilliant Investing Experts Who Want Nothing to Do With the Cryptocurrency
• The Dumbest Bitcoin Predictions Ever Made
• Bitcoin ‘Dies’ For The 300th Time, Trading At $7,300
• Julian Assange Thanks US Government, Senators, For Forced Bitcoin Investment
• If You Had Purchased $100 of Bitcoin in 2011
Scams, Hacks & Security
1. Fake ICOs
2. Social media giveaway scams
3. Cloned websites
4. Ad scams
5. DNS hacks
6. Email scams
7. Fake support teams
8. Fake exchanges and apps
9. Cloud Mining scams
10. Ponzi, pyramid and multi-level
11. Malware and Crypto Mining
12. Fake Pools and OTC scams
13. Pump and dumps
14. Phone hacks
Anatomy of a Cryptoheist
Coinbase account holders lose up to $5 million annually to theft by hacking, according to a person close to the company. Here’s how the hacks happen, and why the culprits are so hard to catch.
A scammer scouts a target by searching for people who work in the blockchain industry—or by combing social media for mentions of Bitcoin and Coinbase. The attacker finds the target’s email address and phone number through online postings or previous data leaks.
The scammer contacts the victim’s mobile provider and “ports” the phone number to a device under the scammer’s control.
Because Gmail accounts often link phone numbers as a backup access method, the scammer can now log in and reset the target’s email password, then do the same at Coinbase.
Coinbase requires two-factor authentication (“2FA”) in addition to a password. That 2FA now gets texted to the thief, who logs in.
The scammer moves the money into digital “wallets” under his control. Law enforcement can easily track the movements of the stolen currency recorded on the blockchain, but they can’t block transactions, and figuring out who controls the wallets is difficult.
To try to cover his trail, the scammer can move the currency to foreign “cryptoexchanges,” or convert it to other kinds of digital currency that are harder to track. Eventually, he can convert it to cash or other assets.
Building a Better Vault
For better security:
• Put a “do not port” order on your phone number.
• Don’t use text-message 2FA; instead, use an app like Google Authenticator.
• Use a unique password, one you don’t use for other accounts or social media.
1. The CEO Scam
5. RFID Wallets
• SIM Swapping Becomes Increasingly Popular in California
• A Mac App Named CoinTicker Is Covertly Installing Backdoors
• The U.S. Government Has Spent Millions Trying to Track Cryptocurrency Users
• Fake ICOs, Common Crypto Scams and How to Avoid Them
• Five Bitcoin Crashes and What You Can Learn From Them
• Meet the Engineer Who Solved the Mt. Gox Cryptocurrency Heist – And How He Did It
• Bitcoin Bounties to Sniff Out Online Pirates
• All That’s Needed To Hack Gmail And Rob Bitcoin: A Name And A Phone Number
• Before Investing in Any ICO, Do This One Thing
• Criminals Thought Bitcoin Was the Perfect Hiding Place, but They Thought Wrong
• Neo-Nazi Bitcoin Transactions Made Public by Twitter Bot
• Can the Bitcoin Community Stop Neo-Nazis From Using the Digital Currency?
• Cryptocurrency Cyber Crime Has Skyrocketed Alongside The Popularity Of ICOs
• IRS Uses Chainalysis to Track Down Bitcoin Tax Cheats
• How Do I Protect Myself And My Money In Trading Cryptocurrencies
“Reminder: It’s not a loss until you sell.” — @ThomasSchuIz
— Brian Armstrong (@brian_armstrong) June 19, 2018
“Hey team, many of you are new, so I wanted to share a bit about the price of crypto.
“The crypto industry is like no other I’ve seen – lots of up and down cycles (reaching a new plateau each time). There have been 3 or 4 of these now. It can be scary the first time you see it, but to us who have been in the industry for many years, it feels like old news.
“When there is hype, people are irrationally exuberant. When there is despair, people are irrationally pessimistic. Neither is true. Reality is always somewhere in the middle, more correlated with real usage (transactions per day) than the price.
“After many years of this, I’ve come to enjoy the down cycles in crypto prices more. It gets rid of the people who are in it for the wrong reasons, and it gives us an opportunity to keep making progress while everyone else gets distracted.
“We use the down cycles to build a strong foundation so we can thrive in the next growth cycle.
“I want to encourage you all to ignore the price of crypto and the headlines which will inevitably start to come up. Our job is to rise above that, finding our own intrinsic source of motivation, to come in and do our best work, regardless of what other people think.
“We’ll win in the long term by listening to our customers, and building what they want, just like any great company.
“You’ll hear me continue repeating this message periodically. I want to teach the org how to think about it, and have you share the these same ideas with candidates who are thinking about joining.
“Together we can stay focused on the long term, and shift the world toward an open financial system.”
Markets are never linear, nor follow any mathematically lines. That would take all the fun/excitement/pain/skills out of trading. Markets always over react, you should do the opposite! pic.twitter.com/DTaR5OlpeC
— CZ Binance (@cz_binance) June 19, 2018
“As long as the BIG majority of cryptos is traded in mainly BTC pairing, if BTC goes south, the others follow right away. Think about it — you’ll get amount X in BTCs for amount Y in your crypto, some markets are only tradable in BTC, it would be very unrealistic for a coin not to follow BTC. Until the market stops trading against BTC, BTC is going to control the crypto market. For decoupling to happen faster another pair should be used. Bitcoin is the reserve currency of crypto and considered by many as the only fundamentally sound crypto investment. ‘Decoupling’ from bitcoin seems impossible for imposter altcoins and very unlikely for legit crypto projects.” — @CaptainAltCoin
“Every single industry will be disrupted by everything going digital, becoming mobile, becoming virtual, becoming personal — music, books, movies, groceries, you name it, it’s happening. And it’s going to happen; it is happening to the banking industry. They don’t want to deal with it because it’s competition. Regulators don’t want to deal with it because they don’t understand it, but it is happening and it will continue to happen…”
— Former Hewlett Packard CEO and GOP Presidential Candidate Carly Fiorina
“What people are realizing about Blockchain is that you can take out about 90 percent of the back office costs of all kinds of mechanisms and banks and stock markets and such… You cannot only take out the cost, but you can also create a version of Wall Street where no one can cheat.”
“You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete.”
— R. Buckminster Fuller
Former PayPal COO David Sacks has said cryptocurrency is “fulfilling PayPal’s original vision” to “create ‘the new world currency.'”
In an interview with CNBC, Sacks, who worked with the payment network in its early days around the year 2000, said there were strong comparisons between the current Blockchain scene and the dot-com boom of the 1990s.
“For those of us who lived through the dot-com era, this feels reminiscent. You have some of the same speculative excess and random enrichment,” he told the publication.
“But you can also feel that something revolutionary is happening. Money is being made programmable. That’s a fundamental change with implications we can still barely see.”
PayPal hit the news regarding cryptocurrency for less favorable reasons this week as Bitcoin overtook the company’s $70 bln market cap for the first time in history.
During its early years, however, Sacks says the plan all along was to freeze out the banking sector from payments.
“We added features like interest and debit cards so you’d never have to withdraw funds to the legacy banking system. When we got acquired by eBay, that project kind of stopped,” he explained.
“There are innovations peppered throughout history that have changed human culture beyond recognition. One such innovation was the adoption of agriculture.
“Prior to this adoption, the great thinkers within society struggled with how to determine when to break camp and move to more fruitful lands, how to limit the size of a village so that sheer numbers did not quickly deplete the available food in a new area, and how to design lodging so that could be quickly dismantled for a sudden move.
“Imagine how these great thinkers must have struggled to comprehend a world in which the village never moved; where the size of the village was inconsequential; and where lodging was constructed of immovable stone. There would be nothing in their contextual understanding of their culture that would allow them to comprehend the end product of the emerging new world.
“I believe that the blockchain is, even now, ushering in a new economic and social paradigm that will rival, if not exceed, the impact that agriculture had in human society…”
• This Bullish Crypto Trader Is Predicting A ‘Breakdown’ For Bitcoin Price Tomorrow (03/05/19)
• Bitcoin Price at $1,800? The Longest Bear Market in History Could End With a Spiraling Collapse (03/05/19)
• From Tom Lee to John McAfee, Bitcoin Predictions Haven’t Aged Well (12/28/18)
• Researchers Claim That The Crypto Industry “Is On the Brink of Implosion” (10/11/18)
• Why Some Bulls Expect Bitcoin to Fall Below $5,000 Prior to Big Rally (08/25/18)
• Our Crypto Forecasts for 2019 and Beyond (01/04/19)
1. Bitcoin will be increasingly used as a store of value.
2. The price of Bitcoin will rise again and head for new all-time highs.
3. Select altcoins will rise from relative obscurity to as much as 20 times their previous all-time highs.
4. A select group of cryptos will compete to build a new kind of internet.
5. Another select group of cryptocurrencies will disrupt the world of banking.
6. Bitcoin me-too coins will fade away.
7. New coins will rocket to the top 10.
Cryptocurrencies mentioned in the @WeissRatings forecasts:
Published December 20, 2018
Published November 5, 2018
“Possible outlook for BTC: First, bull run on BAAKT & renewed ETF approval narrative early 2019. Second, ETF denied Feb/27, massive crash, goodbye 6k, hello 4k, cleanse all weak hands. Lastly, halvening 2020 narrative and re-adjustments lead to sustained bull run for the rest of 2019 & 2020.”
Published just before the October 10th crash…
Bitcoin Value By January 2019
Bitcoin Will Loose 50% Market Share To Ethereum – 09/18/18 06/13/18 @WeissRatings
“#Bitcoin will lose 50% of its #cryptocurrency market share to #ETH within 5 years, due to it offering more uses and being backed with superior #blockchain technology. We completely agree – unlike #BTC, which is a one-trick pony, the limit of ETH’s application is sky itself.”
“I expect we will hit 10k by the end of September or thereabouts.”
“I’m amazed at how astonishingly stupid people can be. I talked about Docademic a day ago when it was $0.15. It rises to $0.23 on TopBTC yesterday and whales start to cash in. You are the people who would have sold BTC for $0.10 in 2013. Docademic will be $10.00 by end of year.”
“Tim Draper makes 4 forecasts: (1) #Bitcoin to hit $250,000 by 2022; (2) $86 trillion currency mkt to grow to $140 trillion by 2028; (3) #crypto to be $100 trillion; (4) Bitcoin alone will be 10 trillion.”
“Investors are getting freaked out by #crypto nosedive this weekend, but Juan called it well ahead of time. As long as #Bitcoin holds above $6,400, outlook is still long-term bullish.”
Top Crypto Deals of 2017
“No project in the top ten had an ROI that was less than 6,000% — gains that are unfathomable for investors in many other markets. These numbers demonstrate the strong upside and myriad real-world applications for cryptocurrency. Also, the extreme success of infrastructure projects suggests investors should be seeking foundational companies that will redefine the internet in the next 10 to 15 years.”
$IOTA $NXT $ETH $STRAT $XSPEC $NEO $ARK $SJCX $LSK $KMD
Crypto Watch List
• Bitcoin (BTC)
Primary Altcoin Watchlist
• Ethereum (ETH)
• Cardano (ADA)
• Ripple (XRP)
• Binance (BNB)
• BitTube (TUBE)
• Holo (HOT)
• Ethos (BQX)
• Blockport (BPT)
• Waves (WAVES)
• Mainframe (MFT)
• PundiX (NPSX)
• Basic Attention Token (BAT)
• Mithril (MITH)
• Theta Token (THETA)
• Civic (CVC)
• Power Ledger (POWR)
• Storj (STORJ)
• Gladius (GLAD)
• Medicalchain (MTN)
• Doc.com (MTC)
• Ambrosus (AMB)
• Publica (PBL)
Secondary Altcoin Watchlist
Suppoman’s Crypto Starter List
Holochain – HOT
Power Ledger – $POWR
Power Ledger (POWR) won one of the world’s most important tech competitions. Extreme Tech Challenge, XTC for short, is Virgin Group founder and billionaire Richard Branson’s annual startup competition. After narrowing down thousands of companies to the top 25, top 5 and top 3, Richard Branson and his team of judges announced the winner on October 19.
Bitcoin Cash – $BCH
“Adoption in commerce has been low, partly the result of concentrated ownership. About 56 percent of Bitcoin Cash is controlled by 67 wallets not located on exchanges, according to Chainalysis. Of those, two wallets hold between 10,000 and 100,000 Bitcoin Cash. And chances are, the wealthiest holders are the ones sending a lot of the traffic to merchant services…”
Ethereum – $ETH
Ripple – $XRP
Stellar Lumens – $XLM
Binance – $BNB
• How Binance Became the Most Popular Crypto Exchange in 5 Months (podcast interview with CZ)
• Binance Listing Tips
• Binance Coin Price Analysis – A Firm Bull
• Binance CEO Changpeng Zhao Is The Real Deal
• Why Binance Is Investing $1B To Find The Next Blockchain Unicorn
• Binance is Backing the World’s First Decentralized Bank in Malta
“Its trading volumes and demand has risen exponentially since the inception of the platform due in no small part to its fees being significantly lower than those of other large exchanges (less than half the price of Bittrex, for example), its support for multiple language, and the constant listing of new trading pairs.”
“The utility of BNB tokens coupled with the aggressive forward momentum of the Binance organization, has seen it buck downward market trends and become one of the stand out stability options among all cryptographic assets.”
Cardano – $ADA
Gerolamo Cardano was an Italian polymath whose interests and proficiencies ranged from being a mathematician, physician, biologist, physicist, chemist, astrologer, astronomer, philosopher, writer, and gambler. He was one of the most influential mathematicians of the Renaissance, and was one of the key figures in the foundation of probability and the earliest introducer of the binomial coefficients and the binomial theorem in the western world. He wrote more than 200 works on science.
Ada is named in honor of Ada Lovelace. A gifted mathematician and intellectual, she described an algorithm that is often considered to be the world’s first computer program.
Theta – $THETA
Mainframe – $MFT
EOS – $EOS
“Whiteblock created a working replica of EOS and applied real work simulations to determine its performance and access its abilities. The Whiteblock tests revealed some characteristics about that cryptocurrency investors and enthusiasts might not like to hear.
“The tests also show EOS to not be a decentralized technology. “EOS block producers are highly centralized and users can only access the network using block producers as intermediaries. Block producers are a single point of failure for the entire system.”
“In addition to, and perhaps as a result of the lack of the decentralization, EOS is faced with a key security weakness. Whiteblock found EOS to be vulnerable to a Sybil attack, where fake identities can be used to subvert the system.”
“In EOS a few complete strangers can freeze what users thought was their money. Under the EOS protocol you must trust a ‘constitutional’ organization comprised of people you will likely never get to know. The EOS ‘constitution’ is socially unscalable and a security hole.”
In EOS a few complete strangers can freeze what users thought was their money. Under the EOS protocol you must trust a "constitutional" organization comprised of people you will likely never get to know. The EOS "constitution" is socially unscalable and a security hole. https://t.co/WusEqBMGBp
— Nick Szabo 🔑 (@NickSzabo4) June 19, 2018
TRON – $TRX
“PSA: If you think the #EOS launch was chaotic, wait until #TRON launches in a couple of days. I also happened to have reviewed the entire $TRX codebase. My eyes hurt. They should rebrand to ‘TRON: the Frankenstein of crypto.’ “
They should rebrand to "TRON: the Frankenstein of crypto." Learn more 👇
— Lucas Nuzzi (@LucasNuzzi) June 19, 2018
TRON – $TRX
“On June 12, we published an in-depth analysis of the TRON network and the TRX digital asset to our client base. TRON is a media focused decentralized applications platform that is in the process of launching its main network. Its founder, Justin Sun, founded the Peiwo App, which is one of the most popular voice streaming apps in China with 10M monthly users. TRX will be integrated with Peiwo and the project has garnered a strong social media following, which is an important ingredient for network and token proliferation. Although these may give some reason to be bullish, we think they are far outweighed by accusations of plagiarism, petty feuds, and technical concerns.
“On December 31, 2017, the project was initially accused of violating the GNU Lesser General Public License v3.0 (LGPL) because the project does not mention that its client, Java-Tron, was derived from EthereumJ, which is one of the first Ethereum libraries. Although the project later added the relevant LGPL license language to 14 of the files, we found several instances of code that was copied verbatim or slightly modified from EthereumJ, still without appropriate reference. In early January, Juan Benet, the founder of Protocol Labs, alleged that at least 9 pages of TRON’s white paper were copied from either the Filecoin or IPFS papers, both of which were co-authored by Benet. Although Justin explained this as a mistranslation for the English version, given the amount that was copied, it is unlikely to have been a mere mistranslation.
“While copying code without attribution opens the project up to some legal risks, they pale in comparison to the technical risks that the project faces. EthereumJ is known to be unreliable and has issues like memory leakage. Moreover, the Tron Virtual Machine is a direct copy of the Ethereum Virtual Machine, but with changes that may increase the network’s attack surface. By incorporating a Delegated Proof-of-Stake consensus algorithm into its technology stack, the TRON network will likely be exposed to unique technical risks following its mainnet launch because the project is combining technologies originally developed for different system architectures…”
Tether – $USDT
• The Mystery Behind Tether, the Crypto World’s Digital Dollar
• An Audit Untethered (More dark side issues with Tether $USDT)
• Crypto Coin Tether Defies Logic on Kraken’s Market, Raising Red Flags
Credits – $CS
“A lot of #Credits fans didn’t appreciate our criticism of the crypto. We never said Credits was a scam crypto. However, we stand by what we said: we don’t think this is something you should invest in. It’s no more than a plain vanilla #PoS coin.”
Substratum – $SUB
“Fair warning, #Substratum has the same vulnerability that #PRL exploited yesterday. Do not stand for this type of incompetence. SUB promised to fix this issue 4 months ago. Do not be a victim, demand this possible exploitation be fixed or drop $SUB entirely.”
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